Dick Roche (Wicklow, Fianna Fail)

Senator Bannon made a great contribution. I am surprised, however, that no one else in the Labour Party or Fine Gael cares about this issue.

I welcome the opportunity to speak on this motion. I will deal with the four issues dealt with here: the taking in charge of estates, management companies for housing estates, preventing conflicts of interest in retired local officials and the question of development contributions.

On the taking in charge of housing estates, the responsibility of local authorities is absolutely clear, it is set out in law in the Planning and Development Act 2000. In that Act, the then Minister addressed this matter through the inclusion of strong provisions on taking in charge. Section 180 of the Act provides specifically that where housing estates have been completed satisfactorily, the local authority must, if requested to do so by the majority of owners or occupiers, initiate procedures for the taking in charge of the estate.

There is a similar duty on the planning authority with regard to an estate which has not been completed in accordance with the permission and where enforcement action was not taken within the relevant period. The ultimate decision as to whether an estate is taken in charge is a reserve function for the local authority members. I urge Senators, therefore, who have some influence with councillors, to stress to them that this is not an issue on which councillors should regard themselves as passengers or observers. This is a matter over which they have control and the ball is in their court.

At my request, the Department wrote to all planning authorities in January of this year, to determine if these provisions were being properly applied. In circular PD1 of 2006, planning authorities were reminded of the legal obligation imposed by section 180. The circular also stated that planning authorities must establish a policy for the completion and taking in charge of estates. The policy should include a requirement on developers to complete estates to a standard that is acceptable to the authority for taking in charge, details of the procedures to begin taking in charge estates promptly on foot of requests and the provision of sufficient funding. I am somewhat impatient that local authorities are not doing this. Councillors are elected to make sure that this happens and the county managers and councillors must apply the law.

Planning authorities were asked for a report on their activity in this area and the responses received indicate that at least 560 estates will be taken in charge by planning authorities this year. Some planning authorities, including those close to Senator Dardis' heart, were reminded that taking estates in charge 30 years after they were completed is not acceptable. I have made it clear that I am not prepared to accept any heel dragging from councils or county managers. In one case, I intend carpeting an individual on this issue. I am not prepared to accept this because people who have bought their houses have paid for the housing estates to be completed and taken in charge.

Each local authority has been asked to develop a policy, which must be put to the members. I expect the councillors to remain vigilant on this matter and to request regular reports on the activity of their local authority. After all, that is what councillors are elected to do. I am not prepared to tolerate any foot dragging and I ask councillors to wake up and be more vigilant regarding this issue.

The circular letter referred to earlier also stated that the existence of a management company to maintain elements of common buildings, carry out landscaping and so forth must not impact upon the decision by the authority to take in charge roads and related infrastructure. Senator Dardis made the point that there was some suspicion that councils were effectively trying to pass on their responsibilities in this regard. They should not do so.

The issue of planning conditions relating to management companies is not a totally straightforward one. The Planning Act allows the attachment of these conditions, recognising the fact that management companies have been traditionally set up for the maintenance of apartment buildings and their attendant private grounds. It has been made clear that it is not appropriate to attach planning conditions regarding management companies in the case of traditional housing estates, by which I mean estates of houses with their own front and back gardens. I also consider it is appropriate that planning authorities should take in charge the public roads, no matter what type of residential estate is in question.

However, as Senators will be aware, the traditional housing estate is, in many areas, being replaced by mixed estates which contain apartments, duplex houses and terraced houses with shared facilities such as car parking and gardens. Genuine questions arise as to whether it is appropriate that all these facilities should be maintained at the tax payers' expense. After all, if these facilities were attached in the traditional way to houses the individual householder would not expect the taxpayer to pay for them. I am not sure whether Senator Bannon, in his contribution, was suggesting that it was Fine Gael policy that the taxpayer should pick up the tab for all of these costs. If that is his party's policy, it is a pity he did not say so.

It is not possible to say that it may never be appropriate for planning authorities to require the formation of a management company, as Senator Dardis pointed out. In certain cases there may be facilities, for instance a shared playground or sewage system, which residents want to keep for their own use and they will meet the cost accordingly.

As Senator Brady reminded the House, the Law Reform Commission working group is currently examining the legal aspects of the management of multiunit structures. The Government will consider the recommendations of its final report, including the need for any new legislation in this area. I have spoken with my colleague, the Minister for Justice, Equality and Law Reform on this matter.

In general there has been a failure in this debate to realise that there is a distinction between management companies and management agents. The Minister for Justice, Equality and Law Reform has already indicated that he intends introducing legislation to regulate management agents. A regulator will be charged with regulating management agencies and many of the complaints of apartment dwellers will be addressed in that way. The main issue for people is the failure of management agencies to deliver the services for which they are being paid.

Senators raised the matter of conflicts of interest and public officials. All public officials should avoid putting themselves in a position where there is a conflict of interest. It is of paramount importance that all local authority employees carry out their duties with integrity, impartiality and concern for the public interest. In that context, a code of conduct for local authority employees was published in June 2004 under the Local Government Act 2001. The code is a major step forward in local government and includes disclosure requirements concerning employment by serving personnel outside the sector and addresses situations concerning a conflict of personal or public interest. This builds on long-standing ethical requirements. The local government code was published before other codes of conduct.

The question of senior local government officials accepting outside appointments or consultancies following resignation or retirement is not subject to the code of conduct at present. Provisions of this kind were introduced to the Civil Service code in September 2004, that is, some months after the promulgation of the new local government code. An amendment to the code to bring it into line with the provisions that apply to civil servants will be published shortly.

Senators are aware of the importance of development contributions, which allow local authorities to recoup some of the costs of servicing land for private development. They are critically important to delivering a better environment and improving the quality of life for our citizens. It is right that the amount of development contribution be determined locally. This should not be determined centrally and is a matter for local councillors. It is also right that the adoption of the development contribution scheme should remain under the control of democratically elected councillors. Councillors are not mere passive observers in this process. This is one of the more important roles they have been given under the law. Councillors all over the country have rightly complained that many powers have been taken from them. They have the power in this case and should exercise it appropriately.

My Department has given planning authorities guidance regarding development contributions and, in particular, about setting them at an excessively high level. It is patently wrong for local authorities to have dramatically different levels between one area and another. An interdepartmental committee is currently examining a number of issues regarding development contributions schemes, following which revised guidance will issue, if appropriate. However, I am reluctant to take powers away from local authorities. We all subscribe to the idea of local democracy and if powers are given to local councillors, it is reasonable to ask that they exercise them.

On the issue of accountability and transparency, I have made it clear that I expect local councils and managers to be open, up-front and absolutely transparent in the matter of development contributions. The local authority's annual report must — it is not a desiderata — contain details of moneys paid or owing to it under section 48 and must indicate how such moneys have been expended. I wrote to council managers on this matter before the 2006 estimates cycle began, indicating that I expect councillors to have full information. Before the start of each local financial year, the manager must submit to the elected council a report indicating the programme of capital projects. If Members of this House believe there are council managers who are not doing this, I would be delighted to hear from them.

I am aware that the practice differs from county to county and Senators expressed concern in this regard. I draw the attention of the House of an excellent example of good practice. Mr. Danny McLoughlin, the county manager in Leitrim, drew up a report which was published in local newspapers and sent to all councillors, detailing the income from the development contributions scheme and precisely how he intends to spend the money. That type of transparency should be the norm in every council. If Senators believe county managers are withholding information they should let me know and I will pursue the matter. In addition, if Senators believe there is any evidence of development levies being abused by being decanted elsewhere they should let me know. They should not and cannot be used in that way and it would be illegal and improper for them to use them, for example, to pay benchmarking awards.

I have made it clear that with effect from 2005, the annual financial statements of local authorities must show movement in balances of development levies from one year to the next, including income and expenditure, at year's end.

Senators will be aware that it is not right or appropriate that the Minister of the day should interfere in the operations of local authorities but this is an area where managers must be up-front and transparent. I have met councillors in most counties, from all parties and none, and I have told them that if there is any evidence they should make me aware of it and I will have a word in the appropriate ear. It is very important that the partnership involving the local authority member, the Oireachtas Member and the county managers be respected. In partnership with local authorities, my Department is examining ways of building on this transparency and making the accounts of local authorities even more transparent. It is important that all stakeholders — local councillors, local communities and local businesses — are aware of the situation in this regard.

Members will be aware that this year was a historic year in many ways because it was one of the first years where full information flowed to councillors. In fact, I published the development contributions. There was some criticism that this was tantamount to interference but I believe the local government system should be open, transparent and accessible. I will examine any proposal that is brought forward in that regard.

I thank Senators for the opportunity to underline what the Government is doing in the area to ensure local democracy, accountability and transparency. It is important that our planning system operates to the benefit of all and not just a few. Councillors have a key role to play in this area, particularly in the matter of setting the development charges, ensuring proper accountability and that the development levies which are collected to provide benefit to the communities hosting developments are spent in the communities that have borne the brunt of carrying the development. I thank Members for their contributions.